This is also a building based on Western architecture and noted for its cultural and historical background. The palace is open from 10:30 to 17:00 hrs and closed on Fridays, That the Nizam lived a lavish life can be seen from the Massarat Mahal, situated on the eastern wing of the building. It houses the Nizam’s wooden wardrobe, a giant 73-square-meter room having two closets and an elevator. This old palatial building lies between the Dabirpura main road and the Chatta Bazar and located to the southwest of Afzal Gunj Bridge adjacent to the Dewandevdi in Hyderabad.

Purani Haveli is a U shaped complex with a single storied central building in European style, The 18th century European architecture is reflected in the main building which has many interesting pieces of antique furniture. One can see two vast courtyards surrounded by rooms and deep verandahs with semicircular European arches. There are two vast courtyards and the balconies resonate the glory of the heydays of the Nawabs.

The two enormous courtyards are flanked by rooms and intricate balconies with European vaults. Some rooms of the Purani Haveli have mosaic floors and tiled walls that have still not been damaged by the ravages of time. The facades of this mansion are created in 18 th century medieval style while the courtyards are made in traditional Indian architectural style.  Later this property was hierarchically passed on to Nizam III in the eighteenth century. Nizam III's son Sikandar Jah relocated this haveli to the Khilaurat complex and since then it came to be known as Purani Haveli.